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The Colony News December 2020

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| THE COLONY NEWS | DECEMBER 2020 | 7 HOA NEWS WHEREAS, the Board of Directors of The Colony at California Oaks Homeowners Association (hereinafter "Association") has the power and the responsibility to make decisions for the entire community; and WHEREAS, the Board of Directors is responsible for appointing officers from amongst the Board members and the Board members shall be subject to this Code of Ethics as Board members and in their capacity as officers if appointed to any officer position; and WHEREAS, the Board members and officers of the Association are responsible for setting a standard and a tone for behavior that is in the best interest of the entire community; NOW, THEREFORE, BE IT RESOLVED, that the Board of Directors of the Association hereby adopts the following enforcement procedures that are applicable to all Board Members both in their capacity as Board members and as officers serving the community; 1. The Board of Directors will use its best efforts at all times to make decisions that are consistent with the best interests of the Association. 2. No Board member of the Association will accept gifts of any type worth $50 or more from any resident, contractor, or supplier, without prior disclosure to the Board and prior Board consent. Any type of gift in excess of $50 must be in the form of a dinner or other similar event that is open to all current Board members. 3. Board members will not divulge confidential information received in their capacity as Board members or officers to persons other than Board members, the Association's professional advisers, including management representatives, and others whose work the Board determines is essential to the work of the Board as a whole on a matter related to the confidential information. 4. Board members will protect the confidentiality of the personal lives of other Board members, residents, and employees. No Board member shall engage in any writing, publishing, or speech that defames any other member of the Board, an employee or a resident of the community. 5. Board members shall not interfere with the employees or contractors implementing a contract in progress. All communications with contractors must go through Association's site staff or management personnel. Board members shall not interfere with the system of management established by the Board as a whole and the management company. Board members shall not harass, threaten, or attempt through any means to control or intimidate a member of the staff. The Board of Directors retains the ultimate decision-making authority on behalf of the Association. 6. No member of the Board of Directors may promise anything to any subcontractor, supplier, or contractor during negotiations unless approved by the Board as a whole. No Board member shall seek to have a contract implemented which has not been duly approved by the Board. 7. Any Board member convicted of a felony agrees to resign from his or her position. 8. Board members agree that they will immediately remove any volunteer leader from an officer or committee position if that person has been convicted of a felony. 9. Language used by Board members at Board meetings and membership meetings shall be considerate and professional. Personal attacks against owners, residents, officers, directors, and employees are not consistent with the best interests of the community and are prohibited. 10. It is understood that differences of opinion will occur. Such difference of opinion should be expressed in a clear and business-like fashion. 11. A Director's vote will be recorded in the minutes of both executive and regular session minutes. 12. A Board member may not knowingly misrepresent any facts to anyone involved in anything with the community, which would benefit himself/herself personally in any way. 13. A Board member may not use his or her position to enhance his or her financial status through the use of certain contractors or suppliers. Any direct or indirect financial interest in a contractor or supplier or other potential conflict of interest must be disclosed to the Board of Directors. Violations of the Code of Ethics will be brought to the attention of the Board of Directors, which will then determine what action is appropriate. Such action may include removal of a Board member as a committee member, removal from office of an officer, or convening a recall procedure for a director. Code of Ethics & Rules of Conduct for Board Members & Officers

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